Union 'very surprised' at jobs affected in OHSU layoffs

PORTLAND, Ore. (KOIN) -- Nearly 300 OHSU employees -- some of them front line workers -- were notified Monday they were getting laid off, including 151 union workers.

These layoffs have been looming for weeks, spurred by an operating loss of $64 million for the fiscal year that ended Sunday.

Jennie Olson, who both writes grants and contracts for OHSU and is the president of the AFSCME Local 328 which represents thousands of OHSU workers, told KOIN 6 News the number of layoffs could potentially rise to 500 members.

"I'm very surprised by the jobs that are being eliminated," she said. "I don't see how OHSU can really handle these layoffs. We already have problems with long wait lists for patients to get in, the quality of care. People have complained. So to further eliminate staff doesn't make sense to me."

Last week, OHSU officials publicly stated it would focus the largest percentage of layoffs on administrators, not health care workers.

It's true OHSU is laying off 27% of administrators and cutting 2.6% of health care workers. In numbers of people, that means 15 chief administrators were cut while 180 health care workers were let go.

"There's been a lot of money that's been given to the CEO for retirement benefits and equity issues," Olson said. "This is money that could be spent on maintaining health benefits for employees and not laying people off."

The Oregon Nurses Association provided a lengthy statement to KOIN 6 News. In part, the ONA said:

“OHSU’s recent budget misses the mark in their mission to prioritize patient care and support workers. Cutting nurses and staff in the middle of a billion-dollar expansion is absurd and unacceptable. OHSU promises to provide the highest quality healthcare delivery, research and education to Oregonians and its budget should reflect those priorities. … Cutting nurses is confirmation that OHSU executives will not limit their layoffs to non-patient-facing positions. Their cuts will reduce Oregonians’ access to care and ultimately make it harder for more people to get the care they need, when they need it.”

KOIN 6 News confirmed OHSU is also cutting health insurance benefits for workers. Union members protested both job and insurance cuts during Friday's OHSU board meeting.

"Some members could be looking at deductibles going up by thousands of dollars, out-of-pocket maximums going up by thousands of dollars," Olson said.

For its part, OHSU said in a statement they appreciate "the essential role that the Employee Benefits Council plays in ensuring quality, equitable, affordable benefits for all OHSU employees. As they work closely with the Human Resources department to evaluate how to find cost savings in these challenging financial times, we value the compassionate, thoughtful deliberation that each member of the council brings to this important work.”

OHSU officials maintain they've struggled since the pandemic. In a separate statement, a spokesperson said, in part:

"Despite our efforts to increase our revenue, our financial position requires difficult choices about internal structures, workforce and programs to ensure that we achieve our state-mandated missions and regain our footing over the long term."

Olson said when the health care system suffers, "ultimately our community suffers."